Make a Decision
Changing your bad money habits would require you to first make a critical decision in your life whether you want to change your bad money habits or not. You cannot change your bad money habits without first resolving to do so.
Taking charge and controlling your finances will afford you the power to reshape your life positively. Making the resolve in your heart to change your bad money habits is the first step, but it does not end there. What is more important is your decision to stay committed and determined every single day.
How far down have you gone? When it comes to money challenges, one problem that is very peculiar is the fact that the moment you start making financial mistakes, things begin to start piling up quickly. If you leave your financial mistakes for too long without attending to them, things may start going downhill.
How then do you get a clue as to how far down you have gone? Honestly, consider the following questions: Do you make a habit of paying your bills late? Have you pushed aside some basic financial expenses due to insufficient funds? Do you often spend more than your income allows?
Managing your Money
You do not have to start living below your means before you can start taking charge of your financial situations. You do not have to start giving up your daily cup of coffee before you can assume control over your finances. All that is required from you is the ability to master the art of self-control and postpone pleasure and focus on the more important things. You must understand the art of getting into good debts, rather than bad debts; and know how to take advantage of them.
Managing your Debt
The real culprit in your financial struggle is not debt. There is the good debt, and then there is the bad debt.
Good debt is the debt you incur in investing in assets, which in turn makes you some more money. Bad debt, on the other hand, takes money away from you. You spend bad debt on pleasurable things such as cars, and clothes; which do not necessarily make you more money in return. You must understand the difference between good debt and bad debt.
You do not have to start living below your means to take control of your finances; rather, you must seek to enlarge your means. This, you can do by acquiring assets that can sufficiently generate you more income, which will be able to cater for your needs.